It was interesting to see Mayor Weinberger and the city of Burlington argue on the one hand that the only way to solve the housing crises is to increase housing vacancy rates through the housing market, while agreeing on the other hand to legalize and ‘regulate’ (I use the term loosely) Airbnb. If they cared about housing vacancy rates, or they cared about renters, they would have banned Airbnb outright.
Airbnb helps tourists find cheap housing and helps landlords make huge profits, while hurting the actual workers and renters that live in a community. And yet according to the city of Burlington,
410 unique short-term rental listings across many platforms (HC). This represents approximately 2% of all housing units in the city. There was a 25% increase in short-term rentals between 2018-2019 (HC), and the total number doubled from 2016-2019 (AirDNA).
AirDNA reports 66% of rentals are for the whole housing unit, and that 76% of listings were efficiency, one bedroom, or two-bedroom units.https://www.burlingtonvt.gov/mayor/housingpolicy/str
What does this mean? In a city with 10,000 units and a 1.7% vacancy rate, 271 units, or 2.7%, have been taken off the housing market. If the city cared about housing vacancy, why wouldn’t they be excited for the opportunity to double the housing vacancy in one fell swoop?
The reason is that the folks in power, developers and landlords, would lose out if Airbnb was banned and heavily enforced. By keeping supply low, landlords are able to milk even more money from tenants. Developers can continue to make large profits on new buildings.
The city argues that they are getting money back – a whole $7,900 per unit, or $659 a month, and that therefore it is a good deal for tenants. That doesn’t even cover the cost of a moderately priced one-bedroom apartment. Hell, good luck finding anything in this city that isn’t run by CHT for that price.
And while the city claims that they will enforce the rule that ‘hosts’ (owner or tenant…so a landlord can rent out an apartment to an employee who then runs said Airbnb units) need to be living on site, this will lead to one of two different endings. 1) All the ‘accessory dwelling units the Mayor has proposed will turn in to Airbnbs (if you look at Airbnb in the South End, they already have), or 2) there’s no real enforcement mechanism (which has been outsourced to a ‘third party’ aka privatized), no defined fines for when landlords ignore such laws.
The loopholes write themselves. One has to wonder whether this was all intentional, just done through plain ignorance, or likely a mixture of the two? Renters continue to lose under this neoliberal, trickle-down housing ideology, while corporate giants like Airbnb continue to ruin communities.